BBC announces bidders for its BBC Technology

February 9, 2004

The BBC has issued a second-stage list of bidders for its technology arm, BBC Technology. They include CSC, Fujitsu, EDS, Capita, Accenture, IBM, Logica and Hewlett-Packard.

The bidding also includes procurement of a new technology contract for the BBC’s technology requirements for the next decade. The network identified potential annual savings of at least $37 million if its technology services were outsourced. Combining the procurement with the sale of BBC Technology means the network can leverage maximum value for the corporation while continuing to invest more money into its programs and services.

“During the next phase of the process there will be a rigorous evaluation of not only the technology expertise and operations of these bidders, but their culture and fit with the BBC—this is a crucial part of our negotiations,” said John Varney, Chief Technology Officer at the BBC.

BBC Technology was created in March 2001 to provide technology services to the BBC, including desktop editing and networked production support, and to generate third-party revenues. The company has won contracts in the UK and abroad with companies such as ESPN, DIRECTV and National Public Radio. In 2002, BBC Technology generated approximately $30 million in profits and price reductions for the BBC, it said.

BBC Technology will demonstrate its Colledia Workflow product suite at NAB2004. Products designed to produce, manage and distribute television content are Colledia for Production, with an AAF plug-in for Windows Media 9 Series; Colledia for News; Colledia for Sports; and Colledia Control monitoring software.